The problem of mass poverty is an issue of the day for many countries as it prevents economics and cultural life from rapid growth. Today, about 1.1 billion people around the world live in conditions of persistent, extreme poverty. The silent policy of keeping urban development and slum dwellers as a lesser development priority increases problems of poverty and hunger in general. The important fact to note is that poverty is a complex problem which is difficult to solve in one day, and that is requires careful long-term planning aimed to cover all social classes.
The solutions to the policy of poverty elimination may vary greatly accordingly to economic conditions of the region. Specific solutions should be approached to short-term improvements and long-term goals in order to eliminate poverty rate. The most effective and urgent short-term solution is direct aid to poor people. Direct aid to poor families should include food that will be distributed directly to the needy according to the list provided by the state administration. The quantity of food will depend upon the group and family member. Special programs will be established for pregnant women and mothers with children from 0-3 years, old people and people with disabilities.
Specific long-term policy includes economic development of the region and educational policies aimed to give young people and adults a chance to improve their professional skills and knowkedge.
Taking into account economic condition, the only way to raise standards of living is through the accumulation of private capital, which makes people more productive. This can be archived through microloans or microenterprises, “a proven solution to poverty, one of humankind’s oldest and most pervasive scourges”. Creation of work places allows to employ hundrends of people in the region and give them opportunity to earn for living. Microloans can be enough for many poor families to set up their small business, such as street retail sales. For instance, economists state that: “$100 can be enough for a cobbler to buy a supply of leather and a few simple tools to make shoes”. Also, people should have a chance to accumulate unlimited amounts of wealth in order to develop their business. Following Horngerger “the only way to bring capital into existence is through savings”. So, specific taxes and charges should be established for poor people engaged in small enterprises. It should be a shift that has gathered momentum that has thrown regional economies into effective competition economic competition. Success in the workforce may make people more independent. This will happen because new places to work will become available.
This policy should be supported by educational opportunities (programs) for poor people. Welfare educational reform to eliminate poverty is an adequate solution to this problem. Education policies should be viewed as investments in people, especially this policy is important at a time of skill shortages.
Elimination of poverty is not an easy problem to solve but only active actions and policy will help to improve conditions of life for thousands of people.
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